JERICHO DIAMOND MINE OPERATION, MAINTENANCE AND SURVEILLANCE PLAN NUNAVUT IMPACT REVIEW BOARD FILE #16UN058 2020 ANNUAL REPORT December 31, 2020 This page intentionally left blank NIRB File #16UN058 – 2020 Annual Report The Proponent shall submit a comprehensive annual report to the Nunavut Impact Review Board at the end of each year of permitted activities, and before December 31st of each year. It is expected that reporting requirements under NIRB File No. 16UN058 will be coordinated with existing reporting requirements associated with INAC’s ongoing site management and monitoring functions related to the Jericho Diamond Mine Project (NIRB File No. 00MN059) as approved to proceed under Project Certificate No. 002. The Board expects to receive the first such report on or before December 31, 2017. The annual report must contain, but not limited to, the following information: a) A summary of activities undertaken for the year, including: a map and associated details pertaining to remediation activities and site operations conducted to-date; The activities that took place during the year included: o The planned freshet site visit in June was canceled due to COVID-19 and associated travel restrictions, all planned activity was completed during the fall site visit. o August 31st to September 2nd Site Visit . Mobilization via aircraft . Implementation of Year 3 of the Operation, Maintenance and Surveillance (OMS) Plan . Installed a new power control system on the remote camera system . Site Tour (CIRNAC Inspector, NIRB) . Demobilization via aircraft See Appendix A for maps of the site showing all work areas. a map detailing the locations of all fuel storage areas illustrating all containment structures, accompanied with a description of all containment measures implemented; Current fuel storage is limited to drummed fuel located within the Truck Shop Building (see Appendix A, Figure 2). This building has an in-ground sump to contain any fuel spills. a description of local hires and employee training initiatives; Due to the short duration of on-site activities there were no local hires or training initiatives. details on transportation activities undertaken including: 1. aircraft flight frequency, approximate flight routes, and altitudes; Jericho Diamond Mine Site Stabilization Project NIRB File #16UN058 – 2020 Annual Report Transportation to and from the site was completed via flights from Yellowknife using Twin Otter aircraft. A total of two flights into the site were completed in conjunction with the one site visit in 2020. 2. finalized winter road routing and vehicle traffic information (number of return trips, types of vehicles); Not applicable. site photos illustrating site conditions and areas of remediation works; Site photos are provided in the following Appendices: o Appendix B: Jericho Mine Site – Operation, Maintenance and Surveillance Program – 2020 Report a summary of wastes disposed on-site as well those transported for disposal offsite, including locations and any required mitigation during transportation; During the August 31-September 2 site visit no wastes were disposed of on-site. All wastes were collected and back-hauled to Yellowknife for disposal. b) An updated work plan for the following year including an approximate work schedule; The project is now in long-term Operation, Maintenance and Surveillance (OMS), 2020 was the third year and final year of the first phase of the OMS. The results to date are currently being evaluated as we move into the second phase (years 4-10) of the OMS Plan. The work plan for 2021 currently includes Care & Maintenance (C&M), OMS activities, and a Community Meeting: C&M o Start operational vehicles and generators o Maintenance on Airport Camp Genset o Removal of Pumphouse from Jetty o Closure of Truck Shop Storage Room o General cleanup around site OMS (although year 4 of the OMS Plan did not include site activity it has been included since the incremental cost of completing this is minor) o Visual inspections o Water sampling These activities will all be completed during one site visit in late summer 2021. Jericho Diamond Mine Site Stabilization Project NIRB File #16UN058 – 2020 Annual Report Community Meeting o Meeting in Kugluktuk to provide residents with an update on the OMS activities to date. c) A summary of community consultations undertaken throughout the year, providing copy of materials presented to community members, a description of issues and concerns raised, discussions with community members and advice offered to the Proponent, as well as any follow-up actions that were required or taken to resolve any concerns expressed about the project; A community meeting was scheduled for February 2021 to provide an update on the results of the OMS to date. This has been postponed to 2022 due to COVID- 19 and the related travel restrictions. d) A log of instances in which community residents occupied or transited through the project area for the purpose of traditional land use or harvesting. This log should include the location and number of people encountered, activity being undertaken (e.g., berry picking, fishing, hunting, camping, etc.), date and time; and any mitigation measures or adaptive management undertaken to prevent disturbance; There were no instances where community residents occupied or transited through the project area during the 2020 field activities in August/September. e) A brief summary of wildlife mitigation and monitoring results as well as any mitigation actions undertaken. In addition, the Proponent shall maintain a record of wildlife observations while operating within the project area and include it as part of the summary report. The summary report should include the following: One Grizzly Bear was observed on August 31st during the 2020 fieldwork. Upon spotting the bear the Wildlife Monitor was dispatched and chased it away with a vehicle. The bear fled to the east of the airstrip and was watched until it crested a hill approximately 1,500 metres from the airstrip. The bear did not return during site activities. Locations (i.e., latitude and longitude) and species of wildlife observed on-site including number of animals, a description of the animal activity, and a description of the gender and age of animals if possible; Prior to conducting project activities, the Proponent should map the location of any sensitive wildlife sites such as denning sites, calving areas, caribou crossing sites, and raptor nests in the project area, and identify the timing of critical life history events (i.e., calving, mating, denning and nesting); Jericho Diamond Mine Site Stabilization Project NIRB File #16UN058 – 2020 Annual Report A Grizzly Bear was observed on the southern end of the Airstrip near the Airport Camp (66⁰01’20.00” N, 111⁰27’54.45” W). The Proponent should indicate potential impacts from the project, and ensure that operational activities are managed and modified to avoid impacts on wildlife and sensitive sites; Given the short duration of on-site activities in 2020 (3 days) there were minimal impacts to wildlife. A summary of the effectiveness of mitigation measures for wildlife impacts; and A member of the field team was equipped with a firearm and acted as a Wildlife Monitor. The standard approach to a bear encounter is to first attempt to scare the bear away from site using non-lethal tactics (i.e. chase or shoot bear bangers). In this case the approach of scaring the bear away worked effectively. If mitigation measures are observed to be ineffective or not achieving the expected outcomes, a discussion of issues interfering with the mitigation and alternative plans to reduce impacts to the wildlife in the vicinity of the project; Not applicable. f) A summary of any heritage sites encountered during the exploration activities, any follow-up action or reporting required as a result, and how project activities were modified to mitigate impacts on the heritage sites; No heritage sites were encountered during the site activities. g) A summary of its knowledge of Inuit land use in/near the project area and how project activities were modified to mitigate impacts on Inuit land use; and Inuit land use in/near the project area is limited and mostly consists of winter access (via snowmobile) to Contwoyto Lake. There was no need to alter project activities to mitigate impacts on Inuit land use due to the fact that: o the main area of use, Contwoyto Lake, is over 3 kilometres from the main part of the Jericho site; and o project activities took place between June and September, when snowmobile access is not possible h) A summary of how the Proponent has complied with conditions contained within the Screening Decision Report, and all conditions as required by other authorizations associated with the project proposal. Jericho Diamond Mine Site Stabilization Project NIRB File #16UN058 – 2020 Annual Report The Proponent complied with the Screening Decision Report and all other Permits, Licences and Authorizations throughout the completion of the site stabilization work. Compliance was achieved by: o discussing all regulatory requirements during the pre-mobilization and all other project meetings; o copies of all regulatory documents are readily available to the project team; o the Crown had site representatives on-site during all activities to ensure compliance with contracts and regulatory authorizations; and o Inspectors were given access to the site in order to complete compliance inspections. Supplemental Questions The Nunavut Impact Review Board issued Board Recommendations with the 2016-2017 Annual Monitoring Report for the Jericho Diamond Mine Project on November 27, 2017. Below are the recommendations and responses: By way of a motion carried during its regular meeting held in November 2017, Board via Recommendation #5 requests that Indigenous and Northern Affairs Canada (INAC) requests that Indigenous and Northern Affairs Canada provide the NIRB with a detailed report of the stabilization works undertaken at the Jericho site under NIRB File No.